Limited planning pair of spinoffs

March 29, 1995|By Bloomberg Business News

Limited Inc. said yesterday it plans to split into three companies and sell stakes in two: its lingerie and women's clothing businesses.

The parent company would hold on to its men's and children's clothing stores, including Structure and Abercrombie & Fitch Co. One group to be split off will be the successful lingerie and toiletries operations, such as Victoria's Secret; the other would contain its flagship Limited and other women's clothing chains.

Analysts said the revamping will allow the Columbus, Ohio-based retailer to separate its newer, faster-growing operations from the women's clothing division, whose earnings have been eroded by sales lost to department stores.

Limited shares closed up $2.375 yesterday, at $22 -- the highest level since a year ago.